Pottery Barn 2010 Annual Report Download - page 151

Option Exercises and Stock Vested
The following table sets forth information regarding exercises and vesting of equity awards held by our named
executive officers during fiscal 2010:
Option Awards Stock Awards
Number of Shares
Acquired on Exercise (#)
Value Realized on
Exercise ($)
Number of Shares
Acquired on Vesting (#)
Value Realized on
Vesting ($)(1)
Laura J. Alber ............ 146,600 $ 2,006,822 75,000 $2,425,500
W. Howard Lester ......... 854,500(2) $14,153,479 305,531(3) $8,891,727
Sharon L. McCollam ....... 30,000 $ 434,472 75,000 $2,425,500
Patrick J. Connolly ......... 40,000 $ 818,433 — —
Richard Harvey ........... 33,800 $ 709,140 25,685 $ 814,110
Seth R. Jaffe .............. 42,800 $ 692,839 22,531 $ 677,637
(1) The value realized upon vesting is calculated as the closing price of our stock on the day prior to the vesting
date multiplied by the number of units vested.
(2) Includes 318,750 shares acquired on exercise of option awards that received accelerated vesting upon Mr.
Lester’s retirement on May 26, 2010.
(3) Includes (i) 249,501 shares that vested upon Mr. Lester’s retirement on May 26, 2010 and were delivered on
December 31, 2010, with an aggregate value realized on such delivery of $8,999,501, (ii) an aggregate of
20,835 shares, of which 4,167 shares vested on each of June 30, 2010, July 31, 2010, August 31,
2010, September 30, 2010 and October 31, 2010, and all of which were delivered on December 31, 2010,
with an aggregate value realized on such delivery of $751,518, and (iii) 35,195 shares acquired on vesting of
stock awards for which the vesting accelerated upon Mr. Lester’s retirement on May 26, 2010.
Pension Benefits
None of our named executive officers received any pension benefits during fiscal 2010.
Nonqualified Deferred Compensation
The following table describes nonqualified deferred compensation to our named executive officers during
fiscal 2010:
Executive
Contributions in
Fiscal 2010 ($)
Registrant
Contributions in
Fiscal 2010 ($)
Aggregate
Earnings (Loss)
in Fiscal 2010 ($)
Aggregate
Withdrawals/
Distributions ($)
Aggregate Balance at
January 30, 2011 ($)
Laura J. Alber ......... — — — — —
W. Howard Lester(1) . . . $7,865,793(2) — $1,881,588(3) $385,491(4) —
Sharon L. McCollam . . . — — — — —
Patrick J. Connolly ..... — — — — —
Richard Harvey ........ — — — — —
Seth R. Jaffe .......... — — — — —
(1) Executive Deferral Plan. Participation in the plan is limited to a group of select management and highly
compensated employees. In fiscal 2009, participants were able to defer up to 75% of their base salary and up
to 100% of their bonus, net of applicable employment and withholding taxes and subject to a minimum
deferral requirement (5% of salary). As of January 1, 2010, we indefinitely suspended employee salary and
bonus deferrals into the plan. We will continue to evaluate this benefit program in the future to ensure that it
is providing the best value to our employees and the company. Participant accounts are not put aside in trust
or any other funding vehicle, and the obligations of the company to pay are simply an unsecured promise to
pay in the future. Although no investments actually are held in the plan, participant accounts track
investment funds chosen by the participant from a specified list, and accounts are adjusted for earnings that
the investments would have accrued had the investment fund actually been held by such participant
accounts. Accounts are generally distributed at termination of employment, although a participant can make
an election at the time of deferral to have the distribution occur at an earlier or later date. A choice of
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